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What to Consider For New Residential Construction Lot entitlement is a lengthy process that may last five years or more, this can also be an expensive endeavor Property mapping for a maximum of five lots is approximately $100,000. If you will go for more than five lots then you might spend $500,000 or more. There are factors that determine the number of lots and the lot size; this includes slope, zoning and general plan, health-department regulations and biology. It is also a must for you to include the fees in processing, regulatory fees, different reports and studies conducted and other relevant fees. The reports that are conducted must include the approval costs, anthropology and archeology, soils, noise, biology, traffic, and storm-water treatment. Once the parcel maps are approved you can expect additional that will not just encompasses that following: – Studies related to potential emission of greenhouse gasses
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– Drainage basis which regulates stormwater runoff
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– Awareness on environmental mitigation – School related fees – Fees that is related to recreational activities – Details relate to secondary access Fees related to fire protection services – Yearly payment of bonds Politics comes in place if one wants to win the approval of governing bodies like county boards, planning commissions, and city councils. The process will be completed base on the level of approval and opposition that you were able to get. This kind of things can be done for a span of four months or for years that might lead to an expenditure of million dollars or more. If you own a property there are three things that you must consider. 1. Property is sold without changing the entitlement – This kind of option will not require to you to shell out significant amount of money and this could be sold for a shorter duration but you can’t expect to obtain greater amount of money once the property is sold. In some cases, it would be a better option not to undergo any entitlement since the property can be sold at a greater price. 2. Acquire long – term agreements – This is a type of contract that has something to do with the home builders who will take charge of the property mapping. Most of the time people go for this type of option. The process is quite lengthy, this could last for up to five years. Homeowners are entitled to receive non – refundable cash deposits from their potential buyers if the contingency is already approved. It is only possible to transfer the ownership to the buyers right after the final mapping of the property. 3. The owners of property will carry the responsibly of the entitlement costs – The process is just similar with the second option. The main different is that the owners has the full control of the property mapping and will have to pay all the expenses in the entire process.